KidCare, a not-for-profit organisation whose parent company is the charity OnePlus, announced its liquidation and shut down all its facilities at 6pm on 4 December. These included a creche at the Scottish Parliament and nurseries at Glasgow and Strathclyde Universities. At 3.30pm, 75 members of staff were informed that they would have no jobs to come to the following day.
Many parents were dismayed because their monthly direct debit was paid out on Friday 1 December. One parent said, 'Kidcare waited until all the parents had paid by direct debit before closing. We are unlikely to be refunded. The company must have had financial problems for some time but they gave us no warning, took our money, and gave us no chance of making alternative arrangements. It's no way to treat people at any time of year, let alone Christmas.'
The charitable trust ran ten nurseries and out-of-school clubs, as well as a mobile creche, with a total of 300 childcare places.
A spokesman for Glasgow university said, 'The University of Glasgow is extremely disappointed at the closure of the nursery. Neither the staff of the nursery nor the university were given prior warning that closure was a possibility. The news is obviously very distressing for parents and children, and for KidCare staff.'
Derek Forsyth, partner at Campbell Dallas Chartered Accountants, was appointed as provisional liquidator. He said, 'KidCare had been loss-making for some time in what is generally a very competitive market with a high staff-child ratio and strict regulatory requirements.
'The directors of the company had tried their utmost to keep the business running, attempting to refinance and to find a buyer. However, unfortunately, their efforts ultimately proved unsuccessful and legal advice was such they had no choice but to opt for immediate liquidation.'
